Korean media said Samsung Security was acquired

South Korea's Samsung Group decided to sell its four subsidiaries in the petrochemical and military industries, Samsung Integrated Chemical, Samsung Total, Samsung Commercial Equipment and Samsung Thales, to Hanwha Group for a total of more than one trillion won (approximately 100 million yuan). According to reports, this is the first time Samsung has sold a major subsidiary to other large companies in the years since the Asian financial crisis broke out in 2018.

According to reports, Samsung Group began to adjust its subsidiaries in the electronics, finance, heavy chemical industry in the second half of this year, but the adjustment method was different from the past. It did not adopt adjustments between subsidiaries or transfer overlapping business units. Instead, it chooses to decisively sell subsidiaries with poor competitiveness and synergy effects. Analysts believe that Samsung Group may have embarked on a comprehensive business restructuring, reorganizing the group's business areas into three major areas: electronic finance and services, and heavy industry. It is reported that the transaction will be completed in the first half of next year after verification of information and other processes.

As one of the four subsidiaries of Samsung Commercial Equipment (), its main business includes compressor security equipment, Samsung's huge changes will have a significant impact on the entire video surveillance market. Samsung has grown rapidly over the past decade, becoming the fifth largest video surveillance equipment supplier in the world. In this decision, r's chief analyst believes that the rapid decline in video surveillance market prices in 2019 is mainly due to factors such as strong competition from China and the expansion of Chinese manufacturers' global market share. Guangdong Security Qualification Affiliation

The decision to sell allows Samsung to devote more energy to other business groups such as smartphones. On the other hand, Hanwha Group, which acquired Samsung Business Equipment, can leverage Samsung's years of foundation to enter the industry market. In the next five years, r believes that the company's average growth rate can reach %. However, Hanwha Group has to face an extremely fragmented but highly competitive market.

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